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SP500 Consumer Discretionary (XLY): Resistance Zone?
March  1 2016 ( From Stockcharts, TradingView  )
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The Situation

​


​​​The Consumer Discretionary
Sector  includes
industries such as automobiles

​and ​components, consumer
durables, apparel, hotels,
restaurants, leisure, 
​media,
and retailing.

It remains as the name says it, discretionary spending for the consumer.
When we observe that sector start to underperform at the beginning of the year, 
​we can ask ourselves is the whole market can keep up without taking into account 
​the US Consumer which makes 70% of the whole economy.​​​

​​The Consumer Discretionary Sector ETF ( XLY ) is within a steep
​Rising Channel that
​started on February 11 and already testing
thhe resistance trendline that started back since December 2 2015.​
​( See first chart below - Upward Channel - Red Trendline - Ellipse ).

​​​The Consumer Discretionary Sector ETF ( XLY ) started to ​outperform compare to the
​Mighty SP500 Index ( SPY ETF ) since February 10 2016 and near its resistance trendline also.
​( See second chart below - Ellipse )...
​​
But the real interesting part is that the  Consumer Discretionary Sector ETF ( XLY ) is testing the resistance trendlines when Bullish convictions are relatively the strongest according to the  Bullish Percentage of the SP500 Consumer Discretionary
Index (DISC) compare to the SP500 Bullish Percentage Index
​​ratio, one of the highest reading of the past 5 years. ​( See third chart below - Thick Black Trendline )...

​​





SP500 Consumer Discretionary (XLY): Resistance Zone? $SPY, $XLY
#xly #investing #sp500 #spy











SP500 Consumer Discretionary ETF XLY 
​Daily Candles​
20 DMA ( Yellow Line )​

50 DMA ( Red Line )​​



Financialiceberg.Com


Financialiceberg.Com


Daily RATIO

Consumer Discretionary ​ Sector ETF XLY
over SP500 Index - SPY ETF ( Candles )

20 DMA ( Yellow Line )​



Daily RATIO

​SP500 Consumer Discretionary Bullish % Index ( Dots )

SP500 Index​ Bullish % Index

7 DMA ( Blue Line )



Financialiceberg.Com





Chart Source: Stockcharts.com